NPM 085-2012

Requesting Entity: Mactan-Cebu International Airport Authority (MCIAA)

Issues Concern: Honorarium



Whether the Head of the BAC Secretariat who is at the same time holding the position of OIC of the Procurement Division may be entitled to receive honorarium.

[T]he second paragraph of Section 5.6 of DBM Circular No. 2004-5A issued on 7 October 2005, states that the members of the BAC Secretariat whose positions are in the Procurement Unit of the agency shall not be entitled to honoraria although the payment of overtime services may be allowed, subject to existing policy on the matter.

In an opinion issued by the Organization, Position Classification and Compensation Bureau (OPCCB) of the DBM, x x x the rationale for the grant of honoraria is to recompense personnel for the performance of tasks or involvement in activities beyond their regular functions, serving as member of the BAC Secretariat or the TWG is an inherent function of the Procurement Unit.

Having been officially designated as OIC of the Procurement Division, primary functions and regular tasks of the OIC are those related to procurement activities, regardless if his plantilla position is outside this division. As such, part of the inherent function of the same is to serve as a member of the BAC Secretariat, where he has been duly designated as the Head.

Based on the foregoing, x x x holding the positions of both OIC of the Procurement Division and BAC Secretariat Head, said officer is no longer entitled to the payment of honorarium as provided under Section 5.6 of DBM Circular No. 2004-5A.